Number of S7 Airlines Passengers Increased 26% in First Half of 2008

15.07.2008

“The increase in the number of passengers in the first half of the year is due first and foremost to the general positive growth trend in air travel on the Russian market. According to the Transportation Clearing Chamber the increase in passenger kilometers in Russia amounted to 23.8%. S7 Airlines is outpacing the overall market indicators thanks to its active use of new aircraft and more effective use of its existing fleet,” said Ilya Alexander, Deputy General Director of S7 Airlines for Finance and Economics.

S7 Airlines’ operating indicators for January-June 2008:

Indicators

Units of measurement

6 mo. 2007

6 mo. 2008

Growth rate 07/08

No. of transported passengers (regular + charter)

people

2,235,302

2,812,315

26%

including on international routes

people

837,475

867,498

4%

including on domestic routes

people

1,397,827

1,944,817

39%

Passenger-km

millions of pass./km

5,502.8

6,819.8

24%

Cargo + mail

metric tons

1,524.1

2,153.9

41%

including on international routes

metric tons

1,524.1

5,153.9

41%

including on domestic routes

metric tons

12,480.6

19,134.3

45%

Cargo ton-km

thous. ton/km

534,323

673,761

26%

Occupancy rate

%

77.2

78.0

+0.8 perc. pts

Commercial capacity utilization

%

71.3

72.9

+1.6 perc. pts

OAO Sibir Airlines (the S7 Airlines brand) is the largest airline on Russia’s domestic air routes and is one of the top 50 world air carriers in this segment.

In 2007 the company received an official notification from the International Air Transport Association (IATA) about the airline’s certification in that organization, becoming the second carrier in Russia to successfully pass the IATA Operational Safety Audit.

S7 Airlines is one of Russia’s most stable airlines, incorporating the latest achievements of the world industry in the servicing of passengers and actively expanding its service. S7 Airlines won the annual national “People’s Brand / Brand No. 1 in Russia” prize in 2007.